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Published byKelly McLaughlin Modified over 6 years ago
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Electric Rates 101: Understand Your Rates, Control Your Bill
2016 New Hampshire Local Energy Solutions Conference Jim Bride, Energy Tariff Experts Nick Hill, Hill Energy Services LLC
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Agenda Understanding your electric bill will give you tools to control your energy costs and usage. Energy Procurement Strategies and Stories Pricing and Policy: The Cloudy Crystal Ball Next steps - building on this information
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Buying Electricity??? Yes, electricity is a product
Electricity can be confusing to purchase (think about buying insurance) The State has some good resources -
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New Hampshire Default Supply Rates
Rates change – usually every 6 months for residential & small commercial, monthly for the larger one Notice the volatility, PSNH is higher but steadier
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Pricing: Capacity & Congestion
The electric grid has congestion issues Everyone has a cost allocated to them Related to Demand
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Pricing Options Factors Include: Risk tolerance Budget certainty
Market conditions/outlook Flexible Operations Renewable energy You can get anything you want ….
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Suppliers, Brokers and Aggregators ….
Everyone is licensed, but it’s scary out there The state lists over 30 suppliers and over 100 aggregators/brokers … Suppliers own the power that you’re buying Aggregators & brokers are agents Everyone gets paid in the end
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Legal Stuff …… You’re signing a contract
How long can you sign a contract for? Municipalities and non-appropriation clauses Contract length and risk management What’s included in the price? Contingencies – what happens if …. You use less power? Terminate the contract Late payments?
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Case Study: NRPC Aggregation
The Nashua Regional Planning Commission (NRPC) provides a wide variety of planning and environmental services to its member communities Competitive electricity aggregation began in 2012 17 entities (towns & schools) have participated Over $1.5 million saved Transparent process, costs are shared
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NRPC Aggregation: Process & Lessons
Coordination Documentation Analysis Issuing the RFP Getting and reviewing bids Execution
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The Crystal Ball: Price trends
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Building on this Information
Knowledge is Power Control your rates Reduce your usage Manage your loads (demand) Renewables
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Questions and Discussion
Nicholas Hill, CEM, LEED-AP BD+C Hill Energy Services LLC Tel:
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